COMMUNITY SUPPORTED AGRICULTURE (CSA) SCHEMES

In Community Supported Agriculture, producers and consumers share the risks and rewards of production. Customers become members of the scheme, and contribute varying degrees of support to the farm. Typically these include committing to buying produce or receiving a ‘share’ for a season or other predetermined period of time, but can also be through volunteering time and skills or through buying a community share in the farm or business. Often the payment for the produce, or some of it, is made up front. This not only helps farmers with cash flow at the start of the season or while livestock are growing but also reduces waste as the CSA is then growing for a known audience. However, we encourage CSAs to allow options for weekly or monthly payments to make sure the high upfront cost isn’t a barrier to accessing the scheme for people on low incomes or without savings.

CSAs are often set up as CICs (Community Interest Companies) but can also be limited companies or sole traders. Many of them adopt a cooperative model. CSAs most often develop in one of two ways: as ‘producer-led’ CSAs where producers recruit a membership but retain all or most of the responsibilities and decision making; or ‘community-led’ CSAs where a group from the local community sets up and manages the enterprise which then employs the farmers/growers to produce for them. More about the choices of legal structures and what it means for decision making and ownership of a CSA is found in the Legal Structures section below.

Distribution is most often by collection from a hub or collection point or from the farm, but can also include pick-your-own shares and home delivery. Members generally pay on a monthly, annual or bi-annual basis. The long-term commitment of members makes it easier for CSA farms to offer sliding scales of price and retain the ability to forecast income and production needs.

As with box schemes, the most widely used models are vegetables and meat, though there are farmers in the UK using the model for milk and other dairy products, eggs, fish, bread, flowers and many more. It is also used for wine, with customers taking some of the risk in advance and getting a share of the wine produced.

There are a huge range of CSA models and there is significant scope for development in the UK. Community investment is what sets CSAs apart from a standard box scheme model - and at the other end, being set up primarily as a commercial business is what distinguishes them from community farms and gardens, where benefit to the community is the main objective. However, in practice many CSAs are not dissimilar to well-established community-based box schemes that have high levels of community support and engagement with the farm.

There are an increasing number operating on very innovative frameworks, including:

‘Pay what you can – take what you need’ - In this model members are presented with the running costs of the farm at an annual AGM and make anonymous contributions until the running costs are met, then take a share of the harvest on a weekly basis without it being packaged for them. ‘Self-pack CSA’ – In this model the customers come to the farm or another collection point and pack their own produce according to lists provided by the producers. This can include a higher degree of flexibility in what the share includes. ‘Self-Harvest CSA’ – In this model customers harvest the produce as well as packaging it. Growers are typically on hand to assist with harvesting advice and use marker systems and lists to indicate what is available for harvest each week. ‘CSA market stall’ – in this model customers buy credit at the beginning of the season to assist the farm’s cash flow, and then gradually use this up buying produce from a market stall. ‘Full farm or full diet CSA’ – A CSA, usually from a cooperative of producers, covering a full diet in which members have access to meat, milk, fruit, vegetables, eggs, bread, flour, pulses, preserves etc. ‘Meat share’ – probably the oldest form of CSA, and a model that has existed for as long as farming, in which customers pay a contribution up front or commit time or other responsibilities (e.g. checking sheep on common land, feeding or watering stock) to the raising of animals in exchange for a share of the meat.

The CSA model has a number of advantages. A committed customer base to purchase the farm’s produce along with regular income, which means that the farmer begins the year with a clear demand, and in many cases some upfront finance. It also means that once a strong customer base is established, there is much less need for further marketing.

Many CSAs also create a strong volunteer base of supporters who help with a wide range of tasks, including growing/farming but also marketing, financial management, event planning etc. This can help keep costs down at the same time as having an important social aspect. Many CSA volunteers say that the social aspect of being involved in a CSA has hugely improved their physical and mental health.

Because the community are invested in the farm in a regular and tangible way and most CSAs supply locally and so are known, even by those who don’t purchase from them, in times of need the farm can benefit from their support in ways which are much less likely for a business operating on a standard financial transaction model.

CSA members often collect their produce directly from the farm, which reduces the need for packaging. A relatively clear market also means the farmer is producing for a known audience and so there is likely to be little waste.

Although the forecasting and packing can be complex compared to some operations focused on a few key outputs, the degree of customer commitment can reduce the administrative burden in comparison to box schemes and online shops.

The CSA model does have some disadvantages. It requires commitment from members, which can reduce potential customer base. A CSA scheme will require interest and support, and often needs a few committed people to help get things up and running. Particularly in horticulture, CSAs need to produce enough different products to supply an attractive share throughout. A CSAs management can also require a significant input into communicating with members and supporting volunteers.

The biggest CSA in Wales, Cae Tan, has put together a helpful video showing how they set up, including how they decided to manage the hungry gap, how their membership has grown, and at what point they became profitable: http://www.caetancsa.org/en/

Advantages

 * A committed customer base to purchase the farm’s produce.
 * Regular, most often upfront, income which improve cash flow and increase financial stability.
 * Volunteers to help with harvesting and other CSA administrative and management tasks.
 * Very short supply chain means less packaging and waste and very low/no transport costs.
 * The support of the wider CSA community.
 * An opportunity to increase public knowledge and understanding of good farming.
 * Greater access to grants depending on model (if set up as a CIC, for instance).
 * Relatively low overheads
 * Can act as a hub both for other business and the local community

Disadvantages

 * Requires sufficient numbers of committed members.
 * As a horticultural CSA need to produce a range of products
 * Fewer opportunities for ‘upselling’ and ‘cross-selling’ mean customers might be buying less produce than they would if they had a wider range of choice

In the Resources section there are links to extensive information on CSAs produced by the CSA Network, to the CSA Network Facebook page, and growers’ and farmers’ groups where you can ask questions and get support.